Cubic Corp. Receives $54.5M Service Contract From LA Metro

Wednesday, August 14, 2013

Cubic Corp. said that it received a $54.5 million contract to service its mass transit fare collection equipment in the Los Angeles area.

The deal covers six years.

The Los Angeles County Metropolitan Transportation Authority awarded the deal. Transit riders in Los Angeles carry a “smart card” engineered by Cubic (NYSE: CUB). Cubic also makes card reading equipment. The system, called TAP, supports six rail lines, 80 stations and more than 4,000 buses in the region. Cubic maintains and supports more than 2,000 devices under the service contract; the deal also covers back office systems.

The company’s Cubic Transportation Systems business segment received the contract. Cubic’s other businesses offer products and services for the U.S. Department of Defense.